How to Get Money to Buy a House
The days of zero-percent-down financing for new homes are gone. Today's lenders are looking for applicants who have a nest egg--anywhere from 5 to 20 percent--to offer as a down payment on their new home. Plus, if you have a sizeable down payment, you won't need to pay for private mortgage insurance each month, along with your house payment. So how do you get this money? Here are a few ideas.
Instructions
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Sell stuff. Virtually everyone has too many personal possessions. Consider having a garage sale or listing items on eBay. An added advantage to this strategy is that you'll have fewer things to move once you get that loan.
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Ask the seller. You never know until you ask. In today's challenging real estate market, the seller just might be willing to offer money for a down payment in order to sell a house that's been on the market for several months.
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Borrow from your parents or other relatives. Parents often assist in helping their children purchase a home. United States tax laws allow individuals to give a certain amount (check with your accountant) in a year without requiring the recipient to pay taxes on the money.
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Take a second job. Try blogging for money, writing online articles or working one or two nights bartending at the neighborhood saloon. That extra income will add up quickly.
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Take a loan against your retirement account. Borrow the money from yourself by taking a loan against your 401k or IRA account. Sure, you'll pay a small amount of interest, but you'll be paying it to yourself.
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